HILLSBORO -- Hillsboro City Manager Michael Brown admitted it was a bit unusual - asking for an infusion of cash in the middle of the fiscal year - but Brown did just that Tuesday night.

Brown testified before the Finance Committee and asked to devote $30,000 in city funds to Bag & Baggage, the nonprofit theater company operating out of the Venetian Theatre.

He outlined the history of city investment in the arts, especially downtown, ranging from the Hillsboro Artists' Regional Theatre to the Washington County Museum. Brown said investing in cultural organizations "is low hanging fruit" and the positive ramifications can be felt throughout the community.

Councilors Darell Lumaco and Olga Acuna ultimately decided to forward the request to their colleagues on City Council for consideration after some debate. Both councilors said they were uncomfortable with the request being an annual expenditure, which Brown said must come out of the city's contingency fund this year.

But if the subsidy is approved, Bag & Baggage will see $30,000 for at least this year, with future allocations to be considered and evaluated in the annual budget cycle.

Scott Palmer, artistic director with the theater company, gave an impassioned plea for city funds, tying the nonprofit's chances at obtaining all important grant money from powerful arts giving organizations to the presence of public funding. Having consistent and expected funding from a city is desirable, Palmer said. "Mostly it is important to us because it's leverage."

The money amounts to 10 percent of the organization's operating budget, he said. Bag & Baggage has 17,500 people attend their plays, according to a staff report.

Palmer said the subsidy is part of a three-year "advancement campaign project." That involves several requests to groups such as the Murdock Fundation, Meyer Memorial Trust and others, with a set goal of more than $500,000 in funds over the three-year period.

He said additional staff is a must. "Our success has outstripped our ability to serve our audience," Palmer said.

The deadline for many of the major applications is in February and March, according to Palmer, hence the importance of getting an answer from the city .

The committee also forwarded a recommendation to council to award a $420,018 contract for automated systems at both Main and Shute Park Libraries. The contract with Lyngsoe Systems is for for an automated system to handle checking books in and out of the public libraries.

Library Director Mike Smith said the contract is competitively priced and will allow library users to check their books by themselves while freeing up existing staff for other tasks.

The automated system is "a necessary part of expanding the service without increasing the staff," Smith said.

The annual maintenance on the two systems will be $18,000, Smith said. The contract costs will be funded out of the $8.4 million in full faith and credit bonds issued for the library construction projects this summer, according to Smith.

New councilor Fred Nachtigal wasn't at his first Finance Committee due to a scheduling conflict.